On December 20, 2019, President Trump signed into law the Setting Every Community Up for Retirement Enhancement Act (the “SECURE Act”), and it became effective on January 1, 2020. The SECURE Act has made several changes to the administration of retirement accounts. One big change is that it increases the required beginning date for required minimum distributions (“RMDs”) from your…
Jean opened the envelope that contained her aunt’s will and began to laugh. “Oh, Aunt Sarah. You and your post-it notes.” She shook her head. Jean pulled out the document. The entire front page was covered in small yellow squares of paper. “Guess she changed her mind, a few times.” Her sister, Joan, frowned. “What a mess. How are we…
After you retire, you may no longer wish to reside in California, instead opting for what may be considered a more “senior-friendly” environment. Where you move could have a significant impact on your estate plan. Therefore, it is important to consider the tax consequences of moving to a new state. If you choose to relocate to a western state—Arizona, Nevada,…
The U.S. Congress is attempting to help future retirees get their financial houses in order. The government is reacting to a recent study that claims only 51 percent of all Americans are employed by companies with retirement plans and of those employees, only 40 percent actually participate. In addition, experts say one in three Americans have less than $5,000 in…
The days following the death of a spouse can be confusing. There are a lot of decisions to make and tasks to undertake. One area that must be dealt with quickly and competently is your finances. It is very important to get a clear picture of what steps you must take to secure your financial future. For example, it is…
The California legislature is considering a proposal that could impose a state tax on some estates. Generally, estate taxes are imposed by the federal government on the assets or estate of someone who has died. The tax is paid before the heirs receive any bequests. One of the purposes of estate planning is to minimize an estate’s tax liability. California…
Under the Tax Cuts and Jobs Act enacted last year, the federal lifetime gift and estate tax exemption doubled. Every year the lifetime gift tax exemption and estate tax exemption amounts are adjusted for inflation. For 2019, the exemption increased to $11.4 million for individuals and $22.8 million for married couples. That means, for example, that estates valued at less…
There are a number of situations where a borrower doesn’t qualify for a traditional loan and that’s often true in solving the challenges of real estate lending for irrevocable trusts and probate estates. Conventional lenders are reluctant to lend money to these entities, refusing loan approval until the entity has been dissolved and title converted to an individual interest. Heirs…
If the title of this blog caught your attention, possibly you have found yourself questioning whether your financial advisor’s recommendations for your portfolio are in line with the goals you both discussed. Here are a few questions to ask yourself to see if your situation may need attention: Have you seen a dramatic drop in your account value? You’ve been…
